United Wholesalers, Inc., a Body Corporate, and Michael A. Lombardi v. A. J. Armstrong Co., Inc., a Body Corporate

SOPER, Circuit Judge.

This suit to recover $10,000 for breach of contract was brought by A. J. Armstrong Company, Inc., a New York corporation, against United Wholesalers, Inc., a Maryland corporation, and Michael A. Lombardi, its president and owner. By written contract dated May 10, 1954, United Wholesalers agreed to assign to Armstrong all of the accounts receivable arising out of its sales of merchandise for the net face amount thereof less a factoring charge of one per cent. United Wholesalers also agreed that the minimum factoring service charge which Armstrong would earn in any one…